Yahoo Finance NYSE: PSTH Investor Notice: Lawsuit against directors of Pershing Square Tontine Holdings, Ltd. announced by Shareholders Foundation
SAN DIEGO, Aug. 24, 2021 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed by an investor in Pershing Square Tontine Holdings, Ltd. (NYSE: PSTH).
Investors, who purchased shares of Pershing Square Tontine Holdings, Ltd. and continue to hold any of their NYSE: PSTH shares, have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
On August 17, 2021, a lawsuit was filed against certain directors of Pershing Square Tontine Holdings, Ltd. and others. The plaintiff alleges violations against the Investment Company Act of 1940 (“ICA”) and the Investment Adviser Act of 1940 (“IAA”).
The plaintiff says that rather than pay reasonable fees and structure them in the standardized and transparent ways required by the ICA and IAA, the Company has paid its investment advisers indirectly, in the form of complex securities of the Company that were never offered for purchase by the Company’s public investors.
Furthermore, the plaintiff alleges that less than twelve months after the Company allowed the Sponsor and Director Defendants to purchase identical warrants on PSTH shares, the Company agreed to repurchase some of those warrants at a valuation that implied the warrants were worth, in the aggregate, more than $880 million—thirteen times what the Sponsor and Director Defendants originally paid for them.
Additionally, the plaintiff claims that the Defendants suggest that they can avoid the ICA and IAA because, they say, PSTH is not an investment company but a SPAC by stating that the Company’s primary purpose is not to invest in securities but instead to acquire an operating business. However, the plaintiff says, that investing in securities is all the Company has ever done since its IPO and that Pershing Square Capital Management, L.P. (“PSCM”) is the Company’s investment adviser under the IAA since PSTH has no full-time employees of its own and is therefore completely dependent upon PSCM for investment expertise and administrative resources.
The plaintiff, among other things, requested that the court issues a declaratory judgment stating that PSTH is an investment company under the ICA and that PSCM is the Company’s investment adviser under the IAA and the ICA.
Those who purchased NYSE: PSTH shares should contact the Shareholders Foundation, Inc.
CONTACT:
Shareholders Foundation, Inc.
Michael Daniels
+1 (858) 779-1554
mail@shareholdersfoundation.com
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. Any referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is only provided as a public service. It is not intended as legal advice and should not be relied upon.
